In a bid to alleviate the repercussions of escalating global fuel costs resulting from the Middle East conflict, Cambodia has chosen to diminish import duties on electric vehicles (EVs), electric stoves, and solar-powered appliances.
On March 29, the General Department of Customs and Excise disclosed that the government has resolved to slash import duties from an initial 35% to zero on passenger EVs, electric stoves, and toasters.
The government further resolved to decrease import duties from 35% to a mere 7% on passenger plug-in hybrid electric vehicles (PHEVs).
In addition, import duties on chargers for EV batteries, electric rice cookers, and solar lamps have been reduced from 7% to zero.
The fresh tariff rates are set to commence on April 1.
These measures are a response to the dramatic acceleration of fuel prices since the beginning of the Middle East conflict. The government hopes that by reducing import duties on these items, it will encourage more people to switch to using energy-efficient and eco-friendly products, therefore, decreasing the country’s reliance on imported fuels.
Why is Cambodia reducing import duties on these specific items?
The government is encouraging the use of energy-efficient and eco-friendly products to lessen the country’s reliance on imported fuels, whose prices have soared due to the Middle East conflict.
What are the new import duty rates for these items?
Import duties have been reduced from 35% to zero for passenger EVs, electric stoves, and toasters. For passenger PHEVs, the rate has been reduced to 7% from 35%. Meanwhile, import duties for EV battery chargers, electric rice cookers, and solar lamps have been reduced to zero from a previous rate of 7%.
When will these new tariff rates take effect?
The new tariff rates are set to go into effect from April 1.
